The Decemebr 95 issue of Nation's Business (Published by the US Chamber of
Commerce) had an editorial that I thought might interest the group:

"Regarding your article 'University Ties Give Companies an Edge' (September
95 issue): While it is is true that many colleges and universities can
provide a variety of services on a contract basis, your readers should be
made aware that these services are in direct and unfair competition with
those of private firms.

Most colleges and universities receive substantial amounts of public
support through direct government funding (publicly and privately raised
tax dollars) and research grants and are provided with special tax
advantages.

The main purpose of these funds is to train and educate stduents.  It is
increasingly apparent, however, that governemnt funding cutbacks have led
to increased use of publicly funded facilities and eqwuipment for
contracted work in the private sector.

The reduced fees that these institutions (and free-lancing) professors can
charge is a direct result of the use of tax-supported facilities and
equipment. In effect, the taxes paid by private firms are being used in
unfair competition with the very firms that provide the funding"

William R. Elman
Elman and Associates
Appleton, Wisconsin

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This artiicle makes several good points and when we consider IDC rates for
industrial contarcts, we might want to keep these comments in mind.

Tony

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Anthony M. Boccanfuso, Ph.D.
Director
Office of Sponsored Programs and Research
Bowling Green State University
Bowling Green, Ohio 43403
419-372-2481; 419-372-0304 (fax)